Virginia Lawmakers Float Higher Local Cannabis Taxes in New Plan

Virginia lawmakers unveiled a retail cannabis proposal Tuesday that would allow local governments to impose a higher tax while curbing their ability to opt out of the market.

The framework includes an 8% state cannabis tax, in addition to a 1.125% state sales tax, that would apply to cannabis sold at a retail store. And it would allow localities to impose their own tax rates of up to 3.5%, which is an increase from the 2.5% cap in an earlier legislative proposal.

“Our aim here is to legally have a defensible way to steward more than $400 million in ...